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Unformatted text preview: LEGAL, REGULATORY,
AND POLITICAL ISSUES
AND LEGAL,REGULATORY,POLITICAL ARENAS:
LEGAL,REGULATORY,POLITICAL WHY BUSINESS SHOULD BE
CONCERNED Legal Civil suits Fines Restrictive decisions Regulatory Fines Restrictive regulations Political Legislation
Unsympathetic regulatory appointees
Unsympathetic elected officials RATIONALE FOR
REGULATIONS Economic and competitive reasons Natural monopoly
Monopoly and unfair practices
Adequacy of information Social reasons Externalities
Quality of life (health and safety)
Preservation and aesthetics ROLE OF REGULATORY
AGENCIES Waves of regulation New Deal (1930’s) 1960’s leads to EPA, EEOC, Endangered
Species Act in 1970’s
Species Types of agencies Traditional vs. functional Complexity of legislative process Open to societal involvement Business and special interest groups Lengthy and subject to delay Legislation is not implementation COSTS AND BENEFITS OF
REGULATIONS Costs Federal Regulatory budget ($25 billion) Compliance Costs Benefits Equality in the workplace
Resources for the disadvantaged
Clean air and water
Preservation of habitat and beautiful places
Competitive marketplace LEGAL,REGULATORY AND POLITICAL ARENAS:
LEGAL,REGULATORY BUSINESS AVENUES OF
CONTROL AND INFLUENCE
CONTROL Legal Institutionalize values and ethics codes
Challenge regulations in court Regulatory Compliance systems
Develop relationship with regulators
Self-regulation Political Lobbying PAC’s Campaign contributions The government is considering a ‘bottle
law’. Soft drinks, beers, wine, etc. will be
restricted to standard sized bottles that
consumers can return to retail stores and
from there they will go to distribution centers
to be cleaned and re-used. Consumers will
pay a deposit that will be refunded when they
return the bottle.
What might be the benefits of this law? Why might business dislike this law?
How might business attempt to prevent
this law from being enacted? ...
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This note was uploaded on 09/29/2011 for the course BUS 682 taught by Professor Staff during the Spring '11 term at S.F. State.
- Spring '11